$765 million from U.S. DOT for Access to Region's Core rail project

U.S. Transportation
Secretary Ray LaHood said that the Federal Transit Administration will make a
further "down payment" toward an eventual commitment of $3 billion by approving
a $765-million Early Systems Work Agreement amendment to continue and expand
work on the Access to the Region's Core rail project, which will carry the rail
line under the Hudson River. The agreement includes $385 million in federal
funds matched by $380 million in local funding.

"This project is not only
essential to meeting the transit needs of many thousands in the community,"
LaHood said. "But the Obama Administration also recognizes that it will create
good-paying jobs for thousands more, fueling the region's recovery."

LaHood said that today's
announcement reaffirms the Administration's firm intent to enter into a full
funding grant agreement to provide $3 billion in discretionary FTA New
Starts funds for the $8.7-billion project. The nine-mile commuter rail
extension will consist of two new tunnels under the Hudson River, new rail
tracks between Secaucus Junction and New York's Penn Station, and a new rail
station underneath 34th Street in midtown Manhattan.

This mega transit project
will allow NJ TRANSIT to double rail service capacity into Manhattan, free up
capacity for Amtrak, and reduce travel times and crowding on trains and at Penn
Station.

"Our $3 billion
commitment to this project will be the largest in the 33-year history of the
FTA," FTA Administrator Peter Rogoff said. "By providing these additional
resources now, we will create thousands of jobs on a project that will shorten
the commute for millions of New Jersey and New York residents in the future."

The FTA made an initial
$1.35 billion available for the project in June, including funds from the
Recovery Act. The ESWA will help NJ TRANSIT meet key milestones and keep the
project on schedule and within budget by allowing the immediate use of federal
and local funds for tunneling and related construction work.